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Grundig Mulls Possible Suit
Against Ex-Partner Philips

Germany's ailing Grundig AG is studying whether to take legal recourse against Philips Electronics NV in a bid to reclaim several hundred million marks from its former Dutch partner.

The move could fiercely escalate the arm-wrestling match between the unprofitable Grundig and Philips, which in the past few months has taken aggressive restructuring steps under the leadership of its chief executive officer, Cor Boonstra. Philips, which owns 32% of Grundig, said earlier this month it was cutting off its relationship with Grundig...